King Abdullah, Custodian of the Two Holy Mosques, announced here Sunday a package of measures to tackle the issue of surging oil prices. Inaugurating the Jeddah Energy Meeting (JEM) of world oil producers and consumers, the King proposed an energy-for-poor initiative so as to enable developing countries cope up with the high oil prices. The King allocated $1 billion for an OPEC Fund and offered $500 million in soft loans through the Saudi Fund for Development to finance projects in developing countries to obtain energy. King Abdullah also called for a working group under the umbrella of the General Secretariat of the International Energy Forum (IEF) to follow-up and implement recommendations of the JEM and monitor developments in the oil market. King Abdullah announced that his country has increased output to 9.7 million barrels a day. “We are very concerned for consumers in all countries,” the Monarch said. “We have increased production in the past few months from nine million barrels a day to 9.7 million barrels,” said the King. “And we declare our readiness to meet any additional needs,” he added. “There are several factors behind the unjustified, swift rise in oil prices and they are: Speculators who play the market out of selfish interests, increased consumption by several developing economies and additional taxes on oil in several consuming countries,” the King said. “Despite these facts and even though OPEC ... has sought to meet demand, we find those who point the finger of blame at OPEC alone,” he added. King Abdullah urged the summit's delegates to “uncover the truth” and dispel rumors to get the “real and full reasons” behind the skyrocketing oil price. “In this critical hour, the world community should rise to its responsibility and cooperation should be the cornerstone of any efforts.” The price of crude oil has more than doubled in a year to almost $140 a barrel. __
